The Kentucky Public Service Commission has rejected a proposed contract that would have allowed mining companies to receive subsidies for electricity provided by utilities.
In an Aug. 28 order, the commission rejected a contract between Ebon International and Kentucky Power for a $50 million investment in a cryptocurrency mining facility in the city of Louisa.
According to the document, Ebon plans to operate a 100 megawatt (MW) mining operation by 2024 and then increase the load to 250 MW.
Environmental groups Earthjustice and Greenpeace hailed the commission’s decision as a victory for ordinary energy consumers in Kentucky.
Joshua Archer, head of the Bitcoin campaign at Greenpeace, claimed that incentivizing crypto mining companies to open factories in the state would burden taxpayers and contribute to climate change.